Which One of the Following Is Not One of the Five

question 203

Multiple Choice

Which one of the following is not one of the five steps for recognizing revenue?

• A) Identify the contract with a customer
• B) Recognize revenue when all the performance obligations have been satisfied
• C) Identify the separate performance obligation(s) in the contract
• D) Allocate the transaction price to the separate performance obligations

---

Definitions:

Discriminates

The act of making distinctions or treating someone differently based on characteristics other than individual merit.

Cost Efficient

A condition or process that achieves the intended result with minimal wasted resources or effort.

Productive

The efficiency with which inputs (such as labor and capital) are converted into outputs (goods and services).

Large Income

Substantial earnings or revenue, typically considerably higher than the average income, affording a high standard of living.